#Founder: Fast #AI Revenue Masks a Durability Crisis. #entrepreneur #technology #tech #data

There’s no shortage of capital or company formation in AI right now. According to @pitchbook, roughly $230 billion has been invested in AI, with two-thirds of it concentrated in just 10 companies at the model layer. Meanwhile, close to 1,000 deals have closed at the application layer in Q1 alone. With so many companies coming to market, getting to revenue quickly isn’t the same thing as building something durable. So what actually creates staying power in this market? That question runs through this conversation between Madrona Partner Sabrina Albert’s and PitchBook EVP of Research & Market Intelligence Nizar Tarhuni, recorded live at Seattle Tech Week. They dig into what the data reveals as capital moves across the AI stack, including why harnesses and vertical applications are seeing so much activity even as funding remains heavily concentrated at the model layer, and what's actually happening in valuations and the multi-tranche financing structures we're seeing a lot more of. In a live Q&A, they also take on a frequently asked question in the AI market: Is this a bubble? Nizar explains why he thinks it’s still too early to call, what the data says about the value already being created, and why the next few stages of company growth will tell us much more about which valuations prove durable. The full conversation is now available on Founded & Funded.